PM — Love, death, grief, and robots

Good afternoon, ladies and gents. We’ve made it halfway through this shortened work week, with Thursday confirmed to be a day off for all of us. The EGX will be closed this Thursday, 26 January, in observance of Police Day / the 25 January revolution anniversary, according to a statement released earlier today.

THE BIG STORY TODAY

We could be getting legislation to regulate social media platforms: The Supreme Council for Media Regulation is planning to draft new legislation that would, if passed, require social media platforms to obtain licensing to be able to operate in Egypt, council head Karam Gabr told the Senate earlier this week.

THE BIG STORY ABROAD

It’s a mixed bag in the international business press this afternoon. Among the stories getting top billing on the front pages is Spotify announcing layoff plans, making it the latest tech company to move towards cutting staff (CNBC | Reuters | The Wall Street Journal).

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• Travco wants to capitalize on the tourism rebound + Gov’t calls for USD 30 bn investments to reach 30 mn guests: High-profile tourism firm Travco Group plans to invest EGP 7 bn this year to raise its hotel capacity amid expectations of an increase in tourist arrivals, while the government wants to invest USD 30 bn to grow the sector 25-30% annually by 2038, Tourism Minister Ahmed Issa told the Senate yesterday.
• More imports money from the ITFC: The government has signed a fresh USD 1.5 bn financing agreement with the International Islamic Trade Finance Corporation (ITFC) to fund energy and basic commodities imports.
• ValU is gearing up for its second securitization program: EFG Hermes’ buy-now-pay-later platform valU is studying a new EGP 5 bn securitization program which it hopes to start later this year.

COME TO OUR NEXT ENTERPRISE FORUM-

We’re excited to unveil our next C-level event: The Enterprise FDI + Exports Forum, where we will take a deep dive into two of the most critical topics affecting our community.

Exports and foreign direct investment (FDI) have never been more important to our economy — or our businesses — than in the wake of the float of the EGP. We think we have a once-in-a-lifetime chance to build an export-led economy that makes us a magnet for FDI and all the benefits that will come with it for our nation.

The Enterprise FDI + Exports Forum asks a simple question: Where do we go from here?

The Enterprise FDI + Exports Forum is the latest in our series of must-attend, invitation-only gatherings for C-suite-level business leaders, where they can talk openly and honestly about important issues in key parts of the economy. The gathering, which will take place in May 2023, will focus on how to start making moves across continents, including:

• What do we have to sell to global markets, including products and services? What should our priority industries be?
• How can you break into an export market? How can you make your business a component of the global supply chain? Hear directly from potential partners and buyers about what they’re looking for.
• How to leverage big domestic trends — and turn them into massive windows for export.
• How to climb the value-add ladder in a way that matches up with trends in key export markets.
• How do you choose an export market? What countries should Egyptian businesses be looking at as export targets — and why?
• What are foreign investors looking for? How can you pitch them on a JV — or on investing in your business?

Think of the Enterprise FDI + Exports Forum as a hands-on lab for how to turn the float of the EGP into something that will turbocharge your company.

COMING IN MAY — stay tuned for updates.

Want to partner with us on the conference? Ping a note to Moustafa Taalab, our head of commercial, here.

FOR TOMORROW-

El Sisi heads to India: President Abdel Fattah El Sisi will lead a delegation including ministers and other officials on a three-day visit from tomorrow to this Thursday, 26 January at the invitation of Indian Prime Minister Narendra Modi. El Sisi will be honored as “chief guest” at celebrations to mark the country’s 74th Republic Day.

CORRECTION- 23 January, 2023

An earlier version of this story incorrectly said India is celebrating the 74th anniversary of its independence. 

???? CIRCLE YOUR CALENDAR-

WATCH THIS SPACE- The Supply Ministry is set to finalize the “fair prices” of a number of food and consumer commodities this month, Al Mal reports, adding that it is “close to putting the finishing touches” to the indicative price list.

REFRESHER- The Supply Ministry was reportedly set to announce the price list at the end of December after setting up a committee to advise on fair prices to clamp down on price gouging amid soaring inflation.

The Cairo International Book Fair will open its doors to the public at the International Exhibition Center in New Cairo this Thursday, 26 January. The event runs until 6 February.

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

☀️ TOMORROW’S WEATHER- We’re in for a sunny day tomorrow, with temperatures in Cairo expected to hit 23°C during the day before falling to 12°C at night, our favorite weather app tells us.

Cow burps could slow climate change, but the added expense may discourage farmers, The Wall Street Journal reports, citing research from Proceedings of the National Academy of Sciences. Cow burps (which emit methane) are one of the biggest sources of greenhouse gas emissions from agriculture — which, as a sector, accounts for approximately one-third of all greenhouse gas emissions, according to UN estimates. The study assessed nearly 100 ways for reducing enteric methane emissions and found five methods that reduce emissions per unit of milk or meat by an average of 21% without hindering animal productivity, and three additional methods that actually boosted animal productivity and reduced emissions of milk or meat by an average of 12%.

The best performing strategies: Methane inhibitor, Bovaer — a feed additive created by Dutch chemical manufacturer DSM — has been demonstrated to reduce emissions by an average 30% in dairy cows and 45% in beef cattle. Giving livestock additional feed is also a simple yet effective way to increase productivity. “A better-fed animal produces more meat and milk relative to any extra methane it may emit during digestion,” the WSJ reports. Incorporating oilseeds, such as canola, into their diets and encouraging cattle to graze on younger grasses — which are lower in fiber and more easily digested — both also result in reductions.

But there may be resistance to the uptake: Some farmers may be hesitant to implement these tactics despite their efficacy, Claudia Arndt, lead author of the study explains. Modifying established procedures, by purchasing new feeds or additives or reseeding pastures, may increase costs, even though they may be proven to increase total production.

Digital twin technology isn’t new, but it’s widely expected to become more common in 2023: “Digital twin” technology — which creates digital simulations of a real product or process used for testing, monitoring, and maintenance — is transitioning from highly specialized applications to becoming best practice in management, CNBC reports. This growth is likened to the boom in artificial intelligence over the past few years — although it’s not exactly a new concept, signs are now pointing to it becoming widely adopted. In addition to having several applications, digital twin technology has the potential to replace historical data-driven models, which “lack the ability to account for deviations and disruptions,” according to Frank Diana, principal futurist at Tata Consultancy Services.

The technology has various applications: Businesses are utilizing virtual product development twins to speed up the design and development cycle. They also use the technology to visualize, experiment with, and carry out business decisions by creating simulations that replicate important corporate entities, their interactions with one another, and external influences like competitors or natural disasters. Smart city initiatives are also utilizing the technology; for example, to better design its mobility infrastructure, Los Angeles is using digital twin technologies to “model transportation movement and activity, such as ride sharing and autonomous drones,” Diana explains.

Life sciences applications: Instead of depending on animal testing, pharma and cosmetic businesses can utilize twins to test how to deliver new medications or products on human skin digitally, Diana suggests. Digital twins are also being utilized in the life sciences to replicate human organs, opening up new avenues for research and treatment.

???? ON THE TUBE TONIGHT-
(all times CLT)

Actor-writer-producer BJ Novak casts himself as the lead in his directorial debut, black comedy thriller film Vengeance. Novak (who you may know as Ryan Howard from The Office) plays Ben Manalowitz, a journalist and podcaster, who finds out that Abby — a woman he had a fling with — died of an overdose of OxyContin. Abby’s brother, Ty Shaw (Boyd Holbrook), calls Manalowitz to inform him of the news and ask him to travel from New York City to a small town in Texas for her funeral. After reluctantly agreeing, Ty informs Manalowitz that he believes Abby was murdered. Manalowitz agrees to stay and investigate in hopes that this may be the true crime podcast topic he’s been searching for. Ashton Kutcher and Succession’s J Smith-Cameron play Texas locals, while singer John Mayer makes an appearance playing Manalowitz’s friend. The movie is available to stream on Amazon Prime.

⚽ We’ve got quite the lineup of matches for you in the Egyptian league today: Aswan is currently on the pitch playing Ismaili, in a match that kicked off at 2:45pm, with the score currently standing at 0-0 as we dispatch. Pharco and Enppi also hit the field at 2:45pm — neither team has scored any goals. Later tonight at 7pm, Ceramica Cleopatra play El Gaish while Al Ittihad face Haras El Hodoud.

English Premier League: Fulham plays Tottenham tonight at 10pm.

Serie A: Inter Milan v Empoli (9:45pm)

La Liga: Valencia v Almeria (10pm)

???? Egypt faces off against Denmark — the two-time defending champions — in the last match of the Handball World Cup before the quarter finals at 9:30pm tonight, although both teams have already qualified for the quarter finals.This is being heralded as a revenge game, since Denmark knocked Egypt out in the quarter finals of the 2021 World Cup in a penalty shootout. Egypt leads its group, ahead of Denmark (7 points), Croatia (5 points), Bahrain, Belgium, and the US. The Pharaohs have so far maintained an undefeated streak in all five of their championship matches.

???? OUT AND ABOUT-
(all times CLT)

Squadra takes the stage at the Tap West tonight at 9pm, with a lineup of local comedians serving up their funniest punchlines.

The Austrian Cultural Forum is hosting a screening of the 2022 documentary, My Father, The Prince. The documentary tells the story of Karel Schwarzenberg, Former Minister of Foreign Affairs of the Czech Republic, and his relationship with his daughter Lila.

Don’t miss all-female band Ritmo’s performance at Room Art Space New Cairo tonight at 9pm.

???? UNDER THE LAMPLIGHT-

If you’re overwhelmed by an impending sense of doom after you read some of the “danger zones” in Enterprise Climate, pick up a copy of Generation Dread. Eco-anxiety, which The American Psychology Association (APA) describes as “a chronic fear of environmental doom” can be debilitating. Much like other kinds of stress, it can cause burnout and hinder people’s ability to go about their days. Britt Way demonstrates that these emotions are a healthy response to the word’s unsettling situation by combining scientific and emotional insights. She ties in input from climate-conscious psychologists, viewpoints on privilege and race in the climate crisis and new ways we can cope with the changing planet.

The EGX30 rose 0.4% at today’s close on turnover of EGP 2.4 bn (40.6% above the 90-day average). Local investors were net sellers. The index is up 10.9% YTD.

In the green: Cleopatra Hospitals (+4.8%), Heliopolis Housing and Development (+2.7%) and CIB (+2.4%).

In the red: Alexandria Containers and Cargo Handling (-5.2%), Juhayna (-3.3%) and TMG Holding (-1.8%).

Love, death + robots: A new batch of AI startups are hoping to immortalize the essence of the deceased, in what is now being dubbed “grief tech.” These startups — some already operational and others still under development — are using a number of machine learning approaches to reach a single end: Letting people interact with simulated versions of their loved ones long after they’ve gone.

Conversations with ghosts: San Francisco-based HereAfter AI is among the companies at the forefront of the grief tech industry, helping living people build avatars of themselves that their loved ones can interact with after they’re gone. Users build profiles based on a series of prompts that get them to reveal stories, memories, and unique tendencies. Once they die, their avatars are then able to virtually respond to that person’s loved ones based on their interview answers and in some instances using voice recordings and photos as aids.

Some companies are taking it a step further: Companies like StoryFile and You, Only Virtual are trying to bring ‘realer’ representations of the deceased to the market. One of the oldest companies in the sector, 2017-launched StoryFile creates interactive videos of dead relatives. You, Only Virtual is pooling an even larger set of data – text messages, emails, and voice conversations – to create deeper, more sophisticated reconstructions of dead people starting this year.

Voice AI: More advanced technologies like voice cloning, which use a combination of text and audio samples to produce entirely new soundbites, are already here and on track to improve in the near future. Amazon earlier this year announced that the company is working on a feature for its Alexa product line that would make the virtual assistant capable of reading stories in an imitation of a real person’s voice. Frightening is the fact that all it takes is a sample of about one minute of audio for Alexa to be able to convincingly mimic it.

The scope is limited for now: Most of these products are still largely generic and limited in how well they are able to capture someone’s personality. Avatars remain more adept at rehashing old memories and stories than they are capable of generating new ideas based on what they know of a person, so answers generally skew repetitive.

But grief tech is only going to get better with age: Technologies that rely on deep learning language models are only expected to get better at capturing a person’s syntax and tone with time, meaning that these avatars and chatbots are likely to become a whole lot more accurate in the near future.

Those behind these technologies claim that they’ll help ease the grieving process. “While AI can’t eliminate that pain of loss, it can definitely make their memories last,” Rohit Prasad, senior vice president and head scientist for Amazon Alexa, tells the Washington Post. Sherman Lee, associate psychology professor at Christopher Newport University and director of the Pandemic Grief Project, agrees: “It’s something that’s very fundamental to humans, to keep a connection to something they loved.”

But there are still unanswered questions about the impact: It’s not yet clear how these kinds of technologies might alter our grieving processes, with some worrying that they could have damaging psychological consequences. “By giving somebody the ability to see their loved one again, is that going to give them some solace, or is it going to become like an addiction?” clinical psychologist Albert “Skip” Rizzo, a research professor at the University of Southern California, tells WaPo. Lucy Selman, associate professor in end-of-life care at Bristol University, tells the Financial Times that “before [grief tech] is introduced more widely, a lot more research is needed into its ethical dimensions and how and when it might be useful, or indeed harmful, in serious illness and in bereavement.” While the virtual continuation of severed relationships can be comforting to some, it can put others at the risk of prolonged distress, Selman says.

Data privacy and consent are also salient issues. If it’s unethical to use people’s data without their approval when they are alive, how should we treat it once they’re gone? While companies like HereAfterAI get the explicit consent of users to part with their data before they die, there are no failsafe ways to protect the image or voice of a person — living or otherwise — in the deepfake age. In one high-profile example, filmmakers used AI to read quotes in the voice of the late, great chef Anthony Bourdain for a 2021 documentary on his life, angering Bourdain’s ex-wife.